Worcester Warriors rugby club rescued in last minute deal

Following a torrid 18 months and almost certain collapse, Worcester Warriors Rugby Club has been rescued in a last minute deal

Experts from business advisory firm Quantuma have completed a pre-pack administration sale to Junction 6 Limited, a consortium backed by Loxwood Holdings.

Junction 6 was incorporated on 20 February and has a sole director, Chris Holland, who is also the owner of Loxwood.

The deal sees the future of Atlas Worcester Warriors Rugby Club secured, saving more than 60 jobs. However, the men and women rugby teams have not played at the ground since the club went bust in 2022, although Worcester City women’s team does play at the stadium.

Quantuma managing directors, Brian Burke and Andrew Watling were appointed as joint administrators of Atlas on 24 April 2024. Atlas briefly owned Worcester Warriors Rugby Club for about a year after its initial collapse.

Worcester Warriors first collapsed into administration in September 2022 after failing to provide proof of insurance cover, adequate funding to pay players and staff, and a lack of a future plan. At the time the club had debts of £25m, including at least £6m in unpaid tax, which was never paid.

Hopes for the future of the club were temporarily lifted when Worcester Warriors’ stadium and the surrounding land was sold to Atlas for £2m in February 2023.

This deal was part funded by Loxwood Holdings, part of a group that owns Wasps Rugby Football Club, which stepped in to financially help Atlas complete the purchase of Worcester Warriors from administrators.

This financial assistance was meant to be short-term to help support the eventual recovery of the club and allow Wasps a short-term option to play at Sixways Stadium in Worcester.

However, despite this financial support, which included funding to meet the operational costs of the stadium, Atlas failed to come up with the finances to complete the purchase outright, and so went into insolvency owing the club a further £1m in payment which it was unable to meet.

Last week the club again faced administration, although this time it was short lived. Shortly after Quantama was appointed last week it completed the sale of the business and assets to Junction 6 Limited, a company financed by Loxwood Holdings, in a pre-pack deal.

The purchaser of Atlas was a newly set up consortium, funded by Loxwood Holdings, which is majority owned by Chris Holland. The deal also has support from the local business community, several of whom have become shareholders in the new group, according to Quantuma.

Loxwood Holdings primarily focuses on companies that operate in the security, international risk management and aviation sectors.

Brian Burke, joint administrator and managing director at Quantuma, said: ‘The sale secures the continued trading operation of the stadium, with funding being provided to energise the commercial operation, and support active steps to return elite level rugby, as Worcester Warriors.

‘I am delighted to have achieved such a positive outcome, ultimately preserving all jobs, with no disruption to ongoing stadium operations. This also provides the opportunity to actively expand the operations at the stadium. We look forward to seeing Sixways become the thriving community asset that it can be.’

Chris Holland, director of Loxwood Holdings, said: ‘We would hope that the community will flood back to Sixways under its new ownership and support what is an amazing sporting and conference and events facility.

‘Professional sport is important to Sixways and to Worcester, and the support of the business community and the Warriors supporters is not taken for granted, and is of huge importance to us.’

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